Stephen Ferszt Publishes Article in NYLJ on Considerations for Ultra High Net Worth Couples' Estate Planning

Olshan Employee Benefits and Tax & Personal Planning partner Stephen Ferszt authored an article in New York Law Journal entitled “Considerations for Ultra High Net Worth Couples' Estate Planning.” In the article, Steve highlights the recent celebrity engagement of musician Taylor Swift and athlete Travis Kelce, informing readers of the complex financial state that occurs when two ultra-high net worth (UHNW) individuals get married. These couples must have a team of estate planning attorneys, financial advisors, and accountants to ensure that their funds are protected and properly managed. “To facilitate gift-making where the individuals have not used up the increased exemption amounts, they might consider utilizing Grantor Retained Annuity Trusts (GRAT),” Steve advises. “GRATs are irrevocable trusts to which the grantor transfers assets and receives fixed annuity payments for a set term.” Trusts are commonly used in estate planning due to the blend of privacy and control. UHNW individuals can protect sensitive information while implementing their financial strategies. Aside from trusts, Steve notes, “To preserve business interests, such couples should take a closer look at their business succession planning and philanthropic strategies. UHNW individuals having significant business assets often look to establish certain entities to hold and manage family business assets. In many cases, donors can gift such business interests to heirs as a way to transfer wealth while also retaining control of the business.”